For today’s blog we’re going to be reviewing the market update numbers for Durham Region as of January 2019. As always, please keep in mind that these numbers are for Durham Region as a whole. Every single city, as well as every neighbourhood within those cities is going to have varying numbers. If you want to know what your home is worth, whether you’re just curious or thinking about selling, click here, type in your information and we’ll get you your market evaluation within 24 hours. There is absolutely no cost or obligation for any of this.
Let’s jump right into the numbers. When you take a look at the total number of listings, we are up 24% year over year, which is very promising. A lot of the homeowners last year weren’t sure what was going to happen with the market, so they wanted to stay put just to see what the market was going to play out like. It looks like people are getting a little bit more confident again and we’re starting to see more inventory come to market.
In addition to listings being up, sales are also up from a year ago, over 8%. The only thing that is a little bit worrisome is the fact that our average sales price fell from December to January. Usually you see an increase when it goes from December to January. The last time that happened was in 2015 going into 2016.
So what does this all mean? Even though activity has picked up on both sales and listings, there are still a lot of people stagnating and sitting on the markets. We had 1,181 new listings come to market in January, but we only had 508 sales. That means we only have a 43% absorption rating for the entire market and we’re not even taking into consideration the listings that passed on from December into January.
The market is moving, but you have to be staged well, marketed aggressively, and priced on point. Buyers have a lot of stuff to choose from. We’ve got 2.9 months of inventory, which is still in a sellers’ market, but that number is slowly creeping up. The average days on market for listings last month was 32 days. You definitely don’t want to be on the market for over a month, you want to be sold within the first week to two weeks.
Predictions, who knows? There are so many different ways you can look at this. Two thirds of our buyers are coming out from the city because we’re so undervalued to all the other areas surrounding the GTA. When we’re looking at Durham Region as an insulated area, I think we are going to do okay. However, who knows what can happen on a national or a worldwide level? There are a million and one things that can happen that can affect us all, but as it stands right now I do see prices creeping up maybe a percent or two of the next few months.
My advice is to not try and time the market because you will undoubtedly lose. Just focus on what your needs are right now. If you’ve outgrown your home or you want to downsize because that’s what you need as a family or as a personal use that’s what you should be focusing on. Not holding off on selling or buying because you believe the market is going to do this or that. You are more than likely going to be wrong. All five banks have very smart people, a lot of data available to them and even they can never agree on what’s going to happen.
You just have to operate within the realities of the current market. Buyers are well educated and they know what is out there. On the flip side buyers, don’t be greedy. A year ago you would’ve loved for the market to have been this way. If you’re out looking for a home and you find one that meets all of your criteria, it’s priced well within your range, you’ve discussed it with your agent and you really think this is the one, jump on it. There are many other buyers like you looking for similar homes in the area, especially in the first time buyer range. You still have a lot of competition out there as well. The best listings are getting snatched up within the first week or two.
If you’re still interested in getting a free, online market evaluation, click here, type in your information and we will get that over to you within 24 hours.
If you have any questions or comments please leave them below, I would love to hear your feedback. Also, if there’s any other topics you would like to read about, please let us know. It’s exactly what we’re here for.